Marketing research results show that personalized advertisements (ads) improve the mobile advertising experience and stimulate consumers to purchase the advertised products. Mobile advertising refers to any paid form of non-personal presentation and promotion of ideas, products, or services by an identified sponsor using the mobile channel as a medium to deliver the advertisement messages. Example presentations of mobile advertising include WAP banner ads, mobile search advertising, mobile video bumpers, and interstitial ads on device portals. Advertising companies place a high value on information about consumers because the information allows them to target their advertising correctly, thereby increasing the relevance of the ads to consumers.
There are two major kinds of measurements for mobile advertising, CPM and CPC. CPM (cost per thousand) describes advertising where the displayed content is measured in terms of measured impressions. CPC (cost per click) describes advertising where the user responses are measured in terms of clicks, calls or other user actions associated with the displayed content irrespective of the number of impressions. In the case of WAP-based advertising, given a particular site, a prediction is made of the demographics of the user visiting that kind of site. Based on the demographics, the best suited content is displayed as an advertisement. These methods of displays produce very low user responses and low ROI for the infrastructure providers (since the advertiser pays only for the user actions), since different users may have very specific and varied interests, even though they belong to the same demographic.
Most of the prior art suffers from a lack of user specific information for targeting users for a specific advertisement. Additionally, the prior art lacks a method to rank the ad on a per user level and by the user's peers. Since there is no feedback from the user, there is no selection of ads at the ad server based on feedback from other users.